What should we do about the debt ceiling, and why should you care?
robertreich.substack.com
Predictably, Mitch McConnell refuses to raise it and Democrats are trying to pressure Republicans to give in. OMG! The DEBT CEILING FIGHT is back. Many of you may be asking yourself: what the hell is the debt ceiling?
Appreciate your clarity on yet another obscure antiquity that our government has used to prevent We The People from questioning their methods of handling important issues.
Briefly, it sounds like the debt ceiling, as well as the filibuster, are relics we would be better off without, sooner rather than later. Time's a-wastin'.
It's all about ridiculous politics, just like the ad in Florida complaining about Pelosi's socialist spending plan, for infrastructure etc. Want roads and internet and.... you have to pay for it.
May I just say? THAT DRAWING OF MCCONNELL?! So good. Please keep the cartoons coming, Prof. Reich. Makes the rest of it all slightly more tolerable when we get to see these!
The global economy rests on the foundation of a sound US dollar, the present international currency of choice. The US has a tremendous advantage due to this. We can create US$ at will to get the things we need as a people and a nation. Every time our politicians play games with the debt ceiling they erode confidence in the dollar, thus eroding the foundation of the world and US economy. All modern currencies are a wholly human invention, simply an agreed upon fiction, an idea. Once that fiction is questioned or abandoned, it evaporates. Dangerous fire they are playing with.
If anyone has seen the new documentary about Ady Barkin's fight for health care, it becomes so obvious that politicians on the right use their "policies" to avoid having to listen to their constituents. This is so typical of the right's attitude of take power by any means possible. What ever happened to "representative democracy"???
Eliminating the debt ceiling is an excellent suggestion, it will stop both parties from using it as a political tool to obstruct or pass unpopular legislation. Isn't it time our government focused on what is good for "all" in the country and stopped playing political games to grab or retain personal power?
The debt ceiling is unnecessary when you see our democracy hijacked by a bloated military budget and a taxation policy that panders to the wealthy. The inequality and imbalance will add to the misery and burden of the American people to shoulder government spending. The system is broken and unless it is fixed and reversed, our nation will indeed default and the American tax payer will not only pay bail the government but another giant recession will make economy fall causing disasters worse than 2008. This is not a game of chicken, it is a struggle for the freedom of the American people and the fate of the world.
I had never considered the idea of elimination of a debt ceiling. Thanks for putting it out there along with some examples of nations doing just fine without one!
Thank you for this insightful article, but it does not go far enough. The president could direct his Treasury Secretary to ignore the unconstitutional debt ceiling altogether by instructing her to pay off expenditures ALREADY AUTHORIZED with the electronic equivalent of United States Notes. These have precedent going back to president Lincoln, who issued $450m of them - roughly doubling the size of the then Federal Budget and adding 5% to then American GDP (calculated retroactively). The president is obligated to have Treasury pay ALL outstanding debts, and can't pick and choose which ones to pay either, e.g. to pay the military but not social security.
We need to end the debt ceiling fiction. There is no limit, Constitutionally or practically, to the amount of money Congress can authorize. There are human and natural resource limits, but that has nothing to do with money created to pay for things. It's time to put this dangerous political cudgel to rest.
Appreciate your clarity on yet another obscure antiquity that our government has used to prevent We The People from questioning their methods of handling important issues.
I'm learning so much from you! Thank You.
Briefly, it sounds like the debt ceiling, as well as the filibuster, are relics we would be better off without, sooner rather than later. Time's a-wastin'.
Excellent article!! Thank you.
Your point is well taken. I agree it should be abolished.
Thanks for your explanation.
Absolutely abolish it. Please take away yet another toy from a man with absolutely no conscience or soul ( Mitch McConnell).
It's all about ridiculous politics, just like the ad in Florida complaining about Pelosi's socialist spending plan, for infrastructure etc. Want roads and internet and.... you have to pay for it.
May I just say? THAT DRAWING OF MCCONNELL?! So good. Please keep the cartoons coming, Prof. Reich. Makes the rest of it all slightly more tolerable when we get to see these!
The global economy rests on the foundation of a sound US dollar, the present international currency of choice. The US has a tremendous advantage due to this. We can create US$ at will to get the things we need as a people and a nation. Every time our politicians play games with the debt ceiling they erode confidence in the dollar, thus eroding the foundation of the world and US economy. All modern currencies are a wholly human invention, simply an agreed upon fiction, an idea. Once that fiction is questioned or abandoned, it evaporates. Dangerous fire they are playing with.
If anyone has seen the new documentary about Ady Barkin's fight for health care, it becomes so obvious that politicians on the right use their "policies" to avoid having to listen to their constituents. This is so typical of the right's attitude of take power by any means possible. What ever happened to "representative democracy"???
Eliminating the debt ceiling is an excellent suggestion, it will stop both parties from using it as a political tool to obstruct or pass unpopular legislation. Isn't it time our government focused on what is good for "all" in the country and stopped playing political games to grab or retain personal power?
The debt ceiling is unnecessary when you see our democracy hijacked by a bloated military budget and a taxation policy that panders to the wealthy. The inequality and imbalance will add to the misery and burden of the American people to shoulder government spending. The system is broken and unless it is fixed and reversed, our nation will indeed default and the American tax payer will not only pay bail the government but another giant recession will make economy fall causing disasters worse than 2008. This is not a game of chicken, it is a struggle for the freedom of the American people and the fate of the world.
Why is the current so high?
In my opinion – the rich are not paying their fair share.
Lower the debt ceiling by taxing the rich and $15 min base income.
I had never considered the idea of elimination of a debt ceiling. Thanks for putting it out there along with some examples of nations doing just fine without one!
Do you seriously think the repugnicans don’t want to bring the nation to it’s knees? Remember “Green Eggs & Ham” 🙄
Thank you for this insightful article, but it does not go far enough. The president could direct his Treasury Secretary to ignore the unconstitutional debt ceiling altogether by instructing her to pay off expenditures ALREADY AUTHORIZED with the electronic equivalent of United States Notes. These have precedent going back to president Lincoln, who issued $450m of them - roughly doubling the size of the then Federal Budget and adding 5% to then American GDP (calculated retroactively). The president is obligated to have Treasury pay ALL outstanding debts, and can't pick and choose which ones to pay either, e.g. to pay the military but not social security.
I have written about this three times, going back to 2013, and in my book, "America is Not Broke!" The last article is here: https://www.opednews.com/articles/Updated-Debt-No-More-How-by-Scott-Baker-Banks_Constitution-In-Crisis_Constitution-The_Constitutional-Amendments-210726-560.html
We need to end the debt ceiling fiction. There is no limit, Constitutionally or practically, to the amount of money Congress can authorize. There are human and natural resource limits, but that has nothing to do with money created to pay for things. It's time to put this dangerous political cudgel to rest.